The present invention relates to online auctions and, more particularly, to a method of running an online auction.
Online auctions have become a favorite way for millions of consumers to buy and sell products. Auction houses such as EBAY and SWOOPO have become very popular due to the ease and convenience with which an individual having access to the Internet can list a product for sale or locate a product that he or she wishes to buy.
Conventionally, online auctions can occur 24 hours per day, seven days per week. While auctions allow individuals to often buy products for less money, they can often cause individuals to pay more for a product due to someone coming in at the end of an auction and bidding up the price. These types of auctions reward individuals who only participate at the end of an auction, or punish those who pay more because of the bidding war that ensues at the end of the auction.
Accordingly, there is a need for an auction that rewards individuals for bidding early in the auction and does not punish those individuals with higher prices due to a bidding war at the end of the auction.